348 vs Boxster

Author
Discussion

mrsd

1,502 posts

252 months

Thursday 20th March 2003
quotequote all
You're sounding more and more as though you're digging yourself into a hole Raks. Setting up your own company is a really big deal. It always costs more than you'd expect and it never makes what you think it's going to-at least at first. Seriously expecting to, say, increase your income by 50% in the first year by running a business part time (and believe me it will fill all the spare time you've got and probably impinge on the not-spare time as well) is totally unrealistic.
You're starting out in your first job as a new graduate, as far as I can tell. They're going to expect their pound of flesh. I had assumed, when I posted earlier, that your business was up and running but I see you haven't even registered or investigated how to go about doing so. So you are proposing running a Ferrari on a guaranteed income of £1,275.71 pcm after tax. If we take £4k a year as a reasonable expenditure on the car all in (and that's probably optimistic) if nothing falls off that's 26% of your monthly income just on the car, discounting any finance costs. I think that's totally crazy. We've forgone flash cars and big houses at various times during our marriage in order to put our money into our respective businesses. It paid off.

ninja_eli

1,525 posts

266 months

Thursday 20th March 2003
quotequote all
To answer some questions as quickly as possible, putting the car through the business is not tax efficient unless you can claim the business is related to cars (e.g. if the car was a showcar or testbed etc).

With regards to a business, expect the first year to be relatively difficult, especially more so if it becomes sucessful, as you'll lose sleep time, let alone keep any spare time.

Also, I think by the end of this year my 355 has cost me around £6K maybe £6.5K and next year should be quite a bit cheaper, so I think Frosties experience tallies with mine too, so you could say it is a good indication (you can see I'm not expecting anything to go wrong)

Make no mistake that the Ferrari will be expensive to run, and you don't want to be in a position where you can't afford to repair something.

IMO less than thirteen hundred a month is not enough to run a Ferrari, I think you would need more than double that to be feasible.

If anything go for the Porsche, at least they seem to give a toss about their customers.

Otherwise look at some of the fantastic Japanese machinery available, you'll be impressed. Don't just look at the badge.

Hates_

778 posts

252 months

Thursday 20th March 2003
quotequote all

mrsd said:We've forgone flash cars and big houses at various times during our marriage in order to put our money into our respective businesses. It paid off.


I agree totatly. Our first year of business was a big wake up call as to hard it really is. I have friends who drive BMW etc but struggle to make payments for little things. I am lucky enough to have access to my mum's Focus (Don't tell her I thrash it) and even though have enough to buy a decent car, hold myself back and pump my money back into my work and business so that one day I can buy the car of my dreams and not have to worry about payments or where I'm going to find 2K for a new clutch pedal.

If you are seriously thinking of spending 20K on a car, imagine how much more business you could make if you spent that 20K on branding, marketing and developing your part-time business. With that money invested in your company, you could possibly afford to buy a new 360 Modena and 100 boxsters by this time next year!!!

As for setting up a business. It can get a little daunting. We have a really great accountant and he sorts out all the legalities for us. A good accountant is a must and can make the whole ordeal a million times easier then it really is. Don't be put off though as its a great thing and when you start a business the sky's the limit!

Raks

Original Poster:

1,868 posts

256 months

Thursday 20th March 2003
quotequote all
Easy there tiger! ''

I am still kicking the idea around, needed people from the board to help me along with the decision, and give me some insightful information that dealers obviously won't always offer.

Please don't hurt me now .....

Hates_

778 posts

252 months

Thursday 20th March 2003
quotequote all

Raks said: Easy there tiger! ''


Hehe, this thread totally got hi-jacked.

Head says Porsche, Heart says Ferrari

Raks

Original Poster:

1,868 posts

256 months

Thursday 20th March 2003
quotequote all
Hmmmm, ok then. Well, I guess it's been decided then that the Porsche is the more sensible option. Well, if you could call a Porsche that!

Errm, here's a question, based on what I've said, what would be a good think with the heart, within the budget Porsche??

ps. Done the jap thing, Impreza is my previous car as it says earlier!

Hates_

778 posts

252 months

Thursday 20th March 2003
quotequote all

Raks said: Errm, here's a question, based on what I've said, what would be a good think with the heart, within the budget Porsche??


Hmmm, If I had 23/24K to play with.

I'd probably get a Boxster, or a 911. I'd maybe even consider one of those Nissan 350Zs.

frostie

428 posts

274 months

Friday 21st March 2003
quotequote all
Raks,

One thing you haven't stated is how much you have to spend ie cash in hand.

Also remember that invariably older so called "budget" performance cars can often end up costing more money as things start to wear out and major components need attention or replacement.

You won't like me saying this but if I were you I would buy a reasonbly up-to-date ie < 3 yr old hot-hatch or saloon from a dealer, with a warranty etc.

It sounds from what you are saying that a "working" car will be very important to you in which case you cannot afford to take any risks. I have not run a boxter but I would imagine that if you get problems bills will run into the 1000's - ask yourself if you can really afford this at this stage in your career.

Mark

tailslider

271 posts

260 months

Saturday 22nd March 2003
quotequote all
I must admit, it does make me laugh when I hear about these situations - living with mummy to afford a Ferrari. I'd rather live on my own and drive an Alfa Romeo. odd. Very odd.

Raks

Original Poster:

1,868 posts

256 months

Saturday 22nd March 2003
quotequote all
like i said mate, you have to understand the culture, to understand the mentality.

some people

>> Edited by Raks on Saturday 22 March 11:51

>> Edited by Raks on Saturday 22 March 11:52

tailslider

271 posts

260 months

Saturday 22nd March 2003
quotequote all
Please enlighten me...

Raks

Original Poster:

1,868 posts

256 months

Saturday 22nd March 2003
quotequote all
In my religion, its customary for the son of the family to care of his parents. So when I leave uni this summer, I will either be moving home and then we shall be changing houses in that area, or depending on job, they will move to where I am, and we will settle there. Mortgage on the new place, isn't a problem. Savings plus old house cover that.

Anything else you want to know?

>> Edited by Raks on Saturday 22 March 14:38

tailslider

271 posts

260 months

Saturday 22nd March 2003
quotequote all
What religion are you, that dictates spending the rest of your life living with your parents?

Raks

Original Poster:

1,868 posts

256 months

Saturday 22nd March 2003
quotequote all
I'm Hindu.

Most asains don't go by this, and usually in this day and age will seperate from their parents. I however, do not intend to. My parents are well into their seniors and I wouldn't feel happy about leaving them.

ultimaandy

1,225 posts

263 months

Saturday 22nd March 2003
quotequote all
Sounds like you need to do what I did, convince your Mum to sell the Discovery and buy a Boxter S.

This should leave you with enough money to buy a real car like an Ultima

On a serious note.
I don't live at home, I have four kids, and hope to start my own business one day.

But make no mistake, if you want a new business to work youve got to do something that someone else doesn't do, and normally in the first few years that means working more hrs for less pay.

>> Edited by ultimaandy on Saturday 22 March 21:26

Raks

Original Poster:

1,868 posts

256 months

Sunday 23rd March 2003
quotequote all
OK, so I have decided which one I want....

it is the 360!
oh, and a 550
oh, and maybe the 355 on top too

Davel

8,982 posts

257 months

Monday 24th March 2003
quotequote all
Just a thought - what type of business are you setting up and will the fact that you'll be driving a flash car put off any likely customers?

Many people would look at a Porsche and think sensible and fun but others might look at a Ferrari and think flash git! It can have an affect on potential clients.

Either way - enjoy!

rubystone

11,252 posts

258 months

Tuesday 25th March 2003
quotequote all
I can't believe how considerate and helpful the people are on this thread. Can you imagine what treatment a 20 something wet behind the ears graduate bursting with enthusiasm for the big wide world would get on a Max Power forum...?

Raks, everyone is right you know - running a "real" performance car is only "cheap" if nothing goes wrong with it...the fact of life is something will go wrong.

But them I bought my first 911 at 21, was paying £1300 a year for the insurance on it...all on a salary of £7,000 a year....nearly bankrupted me and I prayed nothing would go wrong with the car....and it didn't...I was lucky..since then I've paid out £4,000 for engine rebuilds on my toys three times (3 separate cars I might add) and sunk God knows how much cash into them...but you're only on this earth once aren't you....my advice is to start your businesses up and after a year then think about buying a Ferrari..if the businesses are doing well you might even be able to buy a 360 straight off!

Hates_

778 posts

252 months

Tuesday 25th March 2003
quotequote all

rubystone said:Can you imagine what treatment a 20 something wet behind the ears graduate bursting with enthusiasm for the big wide world would get on a Max Power forum...?
They'd tell him to get a Pug or something and put the biggest body kit and spoiler he can afford on it!

rubystone

11,252 posts

258 months

Tuesday 25th March 2003
quotequote all
I think they're into Saxos at the moment - I've witnessed the transformation of one recently - guy parks it near my car in the mornings - he's been "grafting" glassfibre scoops and NACA ducts all over the place - now looks like one of those Nissan Sunny GTi-Rs and I don't think he's finished with it yet